Honda announces plans to cut 800 jobs

LONDON -- Japanese automaker Honda says it will cut about one in four jobs at its UK factory as it struggles with low demand in Europe.

Honda Motor Europe says poor sales across Europe due to the region's economic crisis are behind the loss of 800 positions among its 3,500 member workforce in Swindon. The plant makes the Civic, Jazz and CR-V models.

Honda has been making cars in Britain since 1992. About 165,000 cars were built in Swindon last year - though it has the capacity to build 250,000.

The decision comes despite some bright spots in the industry. The Society of Motor Manufacturers and Traders reported this week that new car sales in the UK topped 2 million last year, the best since 2008.